Empyrean Energy PLC (AIM: EME) has completed the farm-down of its 75% non-operated participating interest in the Duyung Production Sharing Contract (PSC) to PT Nations Natuna Barat, while operator Conrad Asia Energy Ltd confirmed the Mako Gas Field development in Indonesia is fully funded and activities are underway.
The total cash consideration for the transaction is $16 million. A second tranche of $4 million was triggered on completion of the farm-down. The remaining $7 million balance is payable upon commencement of commercial production, the company said.
Conrad, which operates the field, will hold a 22.875% operated participating interest through its stake in West Natuna Exploration Limited upon finalisation of the remaining steps. That interest comprises an 8.5% participating stake previously acquired from Empyrean — under arrangements entered into in February 2026 — and a 15% interest previously obtained from Coro Energy plc.
Under the settlement agreement with Conrad, Empyrean is also progressing with the final reconciliation of a $353,388 cash call, with 50% payable alongside applicable taxes, costs and expenses, to settle historical arrears.
Regulatory approval from the Indonesian Ministry of Energy and Mineral Resources has been secured. Final corporate restructuring steps — including the transfer of Empyrean's interest into a special purpose vehicle, WNEL Holdings — are expected shortly and do not require further government sign-off.
First gas from the Mako Gas Field development is targeted for the fourth quarter of 2027.
